The tech sector is trading higher today, ahead of gains in the broader
market. Semiconductors are showing relative strength in the tech space with the
Philly Semi Index trading 2.5% higher. Among chips in the index, BRCM (+4.2%) is
notable leader. Among other major indices, the S&P 500 is trading 1.0% higher,
while the NASDAQ is trading 1.2% higher. The QQQ is also trading 1.2% higher.
Among tech bellwethers, HPQ (+3.1%) and INTC (+3.3%) are showing strength, while
AAPL (+0.3%) and T (+0.3%) are underperforming.
In earnings this morning, MEI (+6.8%) reported a Q4 beat. In news, Gartner
reported it expects worldwide IT Spending is on pace to grow 7.1% in 2011, up
from their first quarter update, when they projected 5.6 percent growth for
2011. Also, there were reports out that there's an Alibaba probe in China, which
is pressuring minority owner YHOO (+0.1%). In rumors, we are hearing BX, KKR,
and TPG pushing for a break up of HPQ (+3.1%).
Among the more notable analyst upgrades this morning, PLXS (+2.9%), ARW (+4.3%), and CLS (+5.7%) were upgraded to Buy at Deutsche Bank, EBAY (+3.4%) was upgraded at Citigroup and BofA/Merrill, and ALU (+0.2%) was upgraded to Buy at UBS. In downgrades this morning, Needham downgraded BELFB (-2.5%) to Hold.
There are no notable tech names set to report results today after the close.






